CAMMELL LAIRD bosses are to lay off up to 200 staff after plans to drop output to a four-day week were dropped.

The company had pitched the idea of reducing working days or introducing new shift patterns but after talks with union leaders it was decided to lay off staff instead.

Shipyard sources said the plans were put to workers before union bosses became involved in the discussions.

It is feared up to 200 jobs could be at risk at Laird’s out of a workforce of around 600, which rises to around 1,000 when indirect staff are counted.

The company yesterday insisted the move has nothing to do with the economic downturn and is in response to the "contract-driven" nature of the industry.

In the last 12 months, the yard has taken on staff to deal with the volume of work but the extra navy and commercial contracts it has won recently are not large enough to sustain the workforce.

But a well-placed Laird source said that workers were surprised by the news considering the value of the contracts the yard has won in recent years.

It is currently tied into a contract with the Royal Fleet Auxiliary that could be worth up to a billion pounds over the next 30 years.

The source said: "We can’t understand it. There’s a ship sat in Canada Dock waiting to be repaired but they’re saying we need to lay men off.

"It doesn’t make sense. The worry is if these lads are laid off, when it comes to taking on again they might have found work elsewhere.

"Then where are they going to find the skills from?"

Union sources told the Echo that concern over the four day week or changes to shift pattern options were mainly to do with fears over loss of overtime if new shifts were introduced.

Cammell Laird boss John Syvret said the company was confident for the future despite the challenges faced.

He added: "The company increased the workforce over the last 12 months in order to undertake some large military and commercial contracts, these were completed over a month ago and whilst we have won other contracts they are not large enough to sustain the enlarged numbers of personnel.

"The company is actively pursuing other contracts and is optimistic that we will continue to be successful."

A spokesman for unions GMB and unite, who met with company bosses yesterday, said:

"We have been working together with the company to minimise compulsory redundancies.

"The company has agreed to seek volunteers and offer members incentives to take some holidays between now and June.

"Cammell Laird has always recognised the positive role that trade unions play in building a successful business and we will continue support its efforts to win work for the local community whilst understanding it is primarily a contracting business."